Mr. Speaker, I am happy to have the opportunity today to speak on an extremely important subject, namely climate change. I am pleased to address the motion of the hon. member for Rosemont—La Petite-Patrie.
In speaking of climate change, one of the elements we have to consider is the transportation sector and the contribution made by public transit to the reduction of greenhouse gas emissions. The transportation sector offers great potential for improving air quality and reducing the effects of climate change in Canada.
However public transit is not the only solution. We must help Canadians who do not have access to public transit, or those still unable to use it, to reduce their dependence on traditional fossil fuels. We must also look at how the freight transportation sector can contribute to reducing greenhouse gas emissions.
This government realizes that climate change is an important issue for the country.
Just last year, as the minister indicated before and it is worth repeating, there were 53 smog days in Ontario, 24 in Quebec and three in Atlantic Canada. For the first time ever, 10 winter smog advisories in Quebec and five in Ontario were issued. This is simply not acceptable.
I can assure members that this government is committed to ensuring that public transit is an attractive option for Canadians. Good public transit systems make a real contribution to urban planning and to the successful functioning of our communities. Good public transit systems make it easier for people to get to work and to the other activities that are key for their quality of life.
I say this as both Minister of Transport, Infrastructure and Communities and also as past president of la Société de transport de l'Outaouais. I was also fortunate to be president of the Quebec Association of Urban Transit . As such, I have hands-on experience in this issue dealing with urban transit. I recognize the need for investing heavily in public transit and providing people with alternatives that encourage them to leave their cars at home. We must take and are taking action.
Budget 2006 proposes a tax credit for transit passes and a $1.3 billion investment in a public transit capital infrastructure trust. As well, the budget maintains the gas tax funding commitment under the new deal for cities and communities. In 2009-10, this initiative will provide the equivalent of up to 5¢ per litre of gasoline excise tax, or $2 billion, for municipalities. I would point out that some of our biggest cities, Montreal, Toronto, Calgary and Vancouver, have already indicated that they will use all of their gas tax funds to support public transit.
While these actions are significant, they are not all that we are doing. Allow me to expand on the government's commitment to public transit.
I am proud to tell members that the budget that was just adopted proposes a 15.5% tax credit for the users of public transit, which takes effect in just over one month. This is real and immediate action.
That means that a person who buys an $80 pass each month will save $150 a year. That is money in the pockets of Canadians who do their part by leaving their car at home. This is important now, and will be even more important for the future. We have to create a culture of public transit in Canada.
And as the government, we will not stop there. One of the biggest obstacles to increasing the clientele of public transit is its relative cost and its practicality. So we have to upgrade and increase the public transit infrastructure.
The government is determined to provide stable, reliable funding to the provinces, territories, cities and communities so that they can meet their infrastructure needs. This investment in public transit infrastructure will make it possible to reduce highway congestion and the associated harmful emissions.
In budget 2006 we are providing $900 million in a public transit capital trust. This trust will help provinces provide funding for capital investment in public transit infrastructure, including rapid transit, transit buses, intelligent transportation systems and other investments, including high occupancy vehicles and bicycle lanes.
A further $400 million in funding for public transit has been provided through agreements with provinces and territories. Nine of those agreements have been finalized and those jurisdictions already have the funds.
The Canada strategic infrastructure fund has been renewed in the budget with an additional $2 billion. This fund is already supporting public transit initiatives, such as the Toronto Transit Commission, the Canada Line in Vancouver and the light rail transit right here in Ottawa. These measures represent real and tangible investment in public transit.
Since coming to power, the government has done more than any other government to encourage the use of public transit.
But not all Canadians have access to public transit. What is more, some people have to use a vehicle to get to work. Therefore we have to consider the matter of the fuels we use for our cars, trucks and other motor vehicles.
Renewable energy sources offer great potential for innovation, job creation and regional diversification. We are setting ourselves the objective of 5% renewable content in Canadian engine fuels by 2010. We intend to move ahead with this commitment, collaborating fully with the provinces and territories. Here is why.
Increasing the renewable energy content of fuels can help us achieve numerous objectives. From the standpoint of environmental conservation, 5% renewable content in engine fuels will help reduce greenhouse gas emissions. Biodiesel can also contribute to improving air quality.
Economic development is important in everything we do, and there are big upsides in moving on this front. This brings a whole new business opportunity to our farmers and to the forestry industry, and strengthens the local economic bases of our rural communities. If we are smart about how we move this forward, we can help advance next generation technology development and lay a significant stepping stone to future biorefineries and related renewable industrial and consumer based products.
As well, on May 5 I announced more than half a million dollars for projects that will reduce greenhouse gas emissions in the freight transportation sector. This funding is provided under the Transport Canada freight sustainability demonstration program.
In French, this is the PDTU.
Transport Canada is also supporting the introduction and use of safe, environmentally friendly vehicles through its advanced technology vehicle programs.
This government fully recognizes the critical role the transportation sector plays in our economy as an open and trading based nation. This sector needs to be a focus of our attention and to make progress on both the economic and environmental fronts.
We have taken action. We are going to continue taking action.